Keeping up with CASS

With new rules and heightened focus, the FSA is on the warpath when it comes to ensuring compliance with requirements for holding client assets and money. Nick Andrews provides a practical guide through the regulatory minefield that could help prevent your firm from becoming a CASS casualty.

Nick Andrews (nick.andrews@mpacllp.co.uk) is a partner at Mpac Consultancy LLP, www.mpacllp.co.uk. The firm is active in all parts of the financial sector providing compliance, regulatory and risk services to all sizes of firm in the UK, the US, the Middle and Far East. He is also a director of Ark Risk Advisory Ltd, www.arkrisk.co.uk, a specialist credit risk advisory firm.

In 2010, the FSA brought CASS rules compliance into sharp focus for all investment firms holding client assets/money authorisations. It has adopted a multi-pronged regulatory approach, utilising a ‘Dear Compliance Officer’ letter in March 2009 as its initial shot across the bows.